One of the leading proprietary trading platforms, Surge Trader gives experienced traders large sums of money starting from $25,000 in exchange for a small share of profits. While this mechanism allows you to trade without investing your own money or taking on extra risks, many traders still consider this trading model unreliable. Some of them even call the company a scam, so it’s important to understand whether such claims are true. In this article, we explain how the platform works and how it’s regulated.
Surge Trader overview
Surge Trader is a prop company that gives you a chance to become a funded trader and manage the company’s money. However, you have to prove that you can be profitable in the long term first. That’s why the company has a special evaluation process. It works like this: you pay a small fee for the right to pass a certain exam. The fees start from just $250 but can reach $6,500 for various exams. Then, all you have to do is show a certain profitability rate without suffering too much losses.
Once you pass the evaluation procedure, you become a funded trader and get up to $1 million as an initial deposit. You can manage them however you like, but the platform will still monitor your actions in order to prevent losses. You can choose many various trading tools: currency pairs, stocks, and so on. The leverage goes up to 1:10 for certain assets, and you can get about 75% of the profits as your income. But is Surge Trader a scam or not?
Should you trust it?
Headquartered in Florida, USA, Surge Trader is definitely one of the most well-known prop companies in the world. Founded in 2021, the company doesn’t have a long history to prove its legitimacy, but it has already managed to attract thousands of experienced traders from all over the world. While most of such companies are still unregulated, Surge Trader is licensed by ASIC and complies with all the requirements of the regulator. That means the company is pretty secure and transparent.
Moreover, the platform uses Eightcap, a well-regulated and reliable broker, to process trades. There’s also an insurance mechanism that can protect up to $100,000 on the account against possible losses or scams. That means that the platform is pretty secure, and you can trust it. However, be aware that your payments for exams may not be refunded if you fail to pass the test.
